The Central Intelligence Agency (CIA) is an independent US
Government agency responsible for providing national security
intelligence to senior US policymakers.
Modern-day Laos has its roots in the ancient Lao kingdom of Lan Xang, established in the 14th Century under King FA NGUM. For 300 years Lan Xang had influence reaching into present-day Cambodia and Thailand, as well as over all of what is now Laos. After centuries of gradual decline, Laos came under the domination of Siam (Thailand) from the late 18th century until the late 19th century when it became part of French Indochina. The Franco-Siamese Treaty of 1907 defined the current Lao border with Thailand. In 1975, the Communist Pathet Lao took control of the government ending a six-century-old monarchy and instituting a strict socialist regime closely aligned to Vietnam. A gradual return to private enterprise and the liberalization of foreign investment laws began in 1986. Laos became a member of ASEAN in 1997.
party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Environmental Modification, Law of the Sea, Ozone Layer Protection
signed, but not ratified:
none of the selected agreements
food or waterborne diseases:
bacterial and protozoal diarrhea, hepatitis A, and typhoid fever
vectorborne diseases:
dengue fever and malaria
note:highly pathogenic H5N1 avian influenza has been identified in this country; it poses a negligible risk with extremely rare cases possible among US citizens who have close contact with birds (2008)
(2009)
chief of state: President Lt. Gen. CHOUMMALI Saignason (since 8 June 2006); Vice President BOUN-GNANG Volachit (since 8 June 2006)
head of government:
Prime Minister BOUASONE Bouphavanh (since 8 June 2006); Deputy Prime Ministers Maj. Gen. ASANG Laoli (since May 2002), Maj. Gen. DOUANGCHAI Phichit (since 8 June 2006), SOMSAVAT Lengsavat (since 26 February 1998), and THONGLOUN Sisoulit (since 27 March 2001)
cabinet:
Ministers appointed by president, approved by National Assembly
elections:
president and vice president elected by National Assembly for five-year terms; election last held 8 June 2006 (next to be held in 2011); prime minister nominated by president and elected by National Assembly for five-year term
election results:
CHOUMMALI Saignason elected president; BOUN-GNANG Volachit elected vice president; percent of National Assembly vote - 100%; BOUASONE Bouphavanh elected prime minister; percent of National Assembly vote - 97%
unicameral National Assembly (115 seats; members elected by popular vote from a list of candidates selected by the Lao People's Revolutionary Party to serve five-year terms)
elections:
last held 30 April 2006 (next to be held in 2011)
election results:
percent of vote by party - NA; seats by party - LPRP 113, independents 2
People's Supreme Court (the president of the People's Supreme Court is elected by the National Assembly on the recommendation of the National Assembly Standing Committee; the vice president of the People's Supreme Court and the judges are appointed by the National Assembly Standing Committee)
The government of Laos, one of the few remaining one-party Communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has no railroads, a rudimentary road system, and limited external and internal telecommunications, though the government is sponsoring major improvements in the road system with support from Japan and China. Electricity is available in urban areas and in many rural districts. Subsistence agriculture, dominated by rice, accounts for about 40% of GDP and provides 80% of total employment. The government depends upon aid from international donors for over 80% of its capital investment. The economy has until recently benefited from high foreign investment in hydropower, mining, and construction. The fiscal crisis of late 2008, and the rapid drop in commodity prices - especially copper - has slowed these investments. Several policy changes since 2004 may help spur growth. Laos, which gained Normal Trade Relations status with the US in 2004, is taking steps to join the World Trade Organization. Related trade policy reforms will improve the business environment. On the fiscal side, a value-added tax (VAT) regime, which began with a few large businesses in early 2009, should slowly help streamline the government's inefficient tax system. Economic prospects will improve gradually as the administration continues to simplify investment procedures and as a more competitive banking sector extends credit to small farmers and small entrepreneurs. The government appears committed to raising the country's profile among investors. Foreign donors have praised the Lao government for its efforts to improve the investment regime. The World Bank has declared that Laos' goal of graduating from the UN Development Program's list of least-developed countries by 2020 could be achievable.
general assessment: service to general public is poor but improving; the government relies on a radiotelephone network to communicate with remote areas
domestic:
multiple service providers; mobile cellular usage growing rapidly; combined fixed-line and mobile-cellular subscribership about 25 per 100 persons
international:
country code - 856; satellite earth station - 1 Intersputnik (Indian Ocean region) (2007)
serving one of the world's least developed countries, the Lao People's Armed Forces (LPAF) is small, poorly funded, and ineffectively resourced; its mission focus is border and internal security, primarily in countering ethnic Hmong insurgent groups; together with the Lao People's Revolutionary Party and the government, the Lao People's Army (LPA) is the third pillar of state machinery, and as such is expected to suppress political and civil unrest and similar national emergencies, but the LPA also has upgraded skills to respond to avian influenza outbreaks; there is no perceived external threat to the state and the LPA maintains strong ties with the neighboring Vietnamese military (2008)
Southeast Asian states have enhanced border surveillance to check the spread of avian flu; talks continue on completion of demarcation with Thailand but disputes remain over islands in the Mekong River; concern among Mekong Commission members that China's construction of dams on the Mekong River will affect water levels
estimated opium poppy cultivation in 2008 was 1,900 hectares, about a 73% increase from 2007; estimated potential opium production in 2008 more than tripled to 17 metric tons; unsubstantiated reports of domestic methamphetamine production; growing domestic methamphetamine problem (2007)
The online Factbook is updated bi-weekly. ISSN 1553-8133
For additional information on government leaders in selected foreign countries, go to World Leaders.
PRINT
